Indian Rice Demand Stays Strong Despite Price Hikes

International buyers from Europe and Timor-Leste seek more Indian basmati and non-basmati rice despite rising costs and shipping hurdles.

KRISHNVEER SINGH25 October 20262 min read1 viewBusiness
Indian Rice Demand Stays Strong Despite Price Hikes

Despite a surge in prices and the unpredictability of global supply chains, the demand for Indian rice continues to hold firm in international markets. Global buyers are not backing away; instead, they are actively seeking ways to strengthen trade ties and uncover new sourcing avenues for both basmati and non-basmati varieties.

These insights emerged from the Bharat International Rice Conference (BIRC) 2026 held in New Delhi from October 23 to 25. The event served as a critical hub for Indian exporters and international stakeholders to navigate the evolving landscape of the global rice trade.

Price Pressures vs. Persistent Demand

While the quality of Indian rice remains a major draw, the rising cost of procurement has become a talking point for importers. Loïc Sautron, Director of LIINK LTD based in Hong Kong, acknowledged that the upward trend in pricing over recent years is felt by buyers.

"It definitely is impacting the demand. The price is getting more and more high during the last years. But the demand is still here," Sautron told ANI.

For importers like Sautron, the primary struggle is balancing the need for competitive pricing with the necessity of maintaining a steady supply for their end customers. He indicated that a sustainable purchase price for basmati rice would ideally sit around USD 1,000-1,100 per metric tonne.

Expanding Horizons: Europe and China

The appetite for Indian rice is pushing traders to explore untapped or expanding markets. Sautron revealed ambitious plans to broaden his business footprint, specifically targeting France and the wider European region. Additionally, he is working toward opening doors in the Chinese market.

To sustain this growth, Sautron is aiming for a consistent procurement rhythm, targeting approximately 20 to 25 containers per month to satisfy his diverse client base. However, he emphasized that in an era of geopolitical tension, securing robust shipping and supply chain partnerships is just as vital as the product itself.

Timor-Leste Seeks Deeper Ties

The interest isn't limited to traditional markets. Carlos Antunes Amaral, Director of the National Directorate of Quarantine and Biosecurity for Timor-Leste, highlighted his country's desire to enhance its trade relationship with India.

While Timor-Leste already imports Indian rice, Amaral stressed the need for better coordination between government bodies and the private sector to streamline the process. He noted that Timor-Leste is already facilitating these imports through its regulatory framework by providing the necessary import permits for Indian products.

For the Timor-Leste delegation, the BIRC 2026 conference provided a vital opportunity to evaluate the quality and availability of various Indian rice strains to inform future import strategies.

The consensus from the New Delhi conference suggests that while the "price tag" is rising, the perceived value of Indian rice remains high. Exporters and buyers are now focused on overcoming logistical hurdles and shipping uncertainties to ensure that the flow of grain from India to the rest of the world remains uninterrupted.

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